China will cut administration fees worth up to 4 billion yuan ($626.78 million) across a dozen sectors including real estate and intellectual property, the country's top planning agency said on Thursday. Effective from October 15, transaction fees for new homes will be lowered to two yuan per square metre from the current three yuan, while transaction fees on existing homes will be cut to four yuan from six yuan, the National Development and Reform Commission said in on its website (www.ndrc.gov.cn).
The Chinese government has been lowering administration fees in recent months to stimulate economic growth. The property sector accounts for 15 percent of China's gross domestic product, so even modest signs of improvement in the sector would relieve some pressure on the economy, which is expected to expand at its slowest pace in a quarter of a century this year. Other fees to be cut include trademark registration fees and software copyright registration fees, the state planner said.